Bitcoin experiences broad-range fluctuations; Standard Chartered lowers BTC target price

Dow Jones Industrial Average and S&P 500 Index hit record highs on Thursday (12/11). Influenced by Oracle’s earnings report and poor spending outlook, AI concept stocks and the tech sector came under pressure, with Nasdaq down 0.26%. Bitcoin fluctuated within a large range yesterday between 89K and 93K, with a 24-hour total liquidation reaching $457 million. The altcoin season index dropped to 18, the lowest zone, indicating insufficient momentum for altcoins. Standard Chartered lowered its BTC target price, expecting market consolidation with long-term upside potential.

Oracle’s poor earnings dragged down AI stocks, while the S&P 500 still reached a new all-time high

Affected by Oracle’s earnings and poor spending outlook, AI concept stocks and the tech sector came under pressure, with Nasdaq down 0.26%. Pessimism towards tech stocks suppressed the upward momentum accumulated in the previous trading day. Previously, internal disagreements within the Federal Reserve led to a third rate cut this year, with the S&P 500 approaching a record high. This rate cut maintained the overnight rate in the range of 3.5%–3.75%.

(Oracle(ORCL)Earnings Disappointment Causes 12% Drop, Dragging Tech Stocks Down! Nasdaq, Nvidia, AMD Drop Simultaneously)

Since small companies tend to benefit more from low interest rates due to their borrowing costs being more closely tied to market rates, the Russell 2000 and Dow Jones indices hit new intraday and closing highs together.

Last week, the US saw the largest increase in initial unemployment claims since the pandemic began. The latest initial jobless claims rose to 236,000, with analysts suggesting that holiday adjustments might interfere with the statistics, but overall, the labor market remains relatively solid. Due to a surge in exports, the US trade deficit in September unexpectedly narrowed to its lowest level since mid-2020.

Bitcoin fluctuates within a large range; Standard Chartered lowers BTC target price

Bitcoin traded within a large range between 89K and 93K yesterday, with a 24-hour total liquidation of $457 million. The altcoin season index dropped to 18, the lowest zone, indicating insufficient momentum for altcoins. The CMC Fear & Greed Index is currently at 29/100 (“Fear”), slightly below yesterday’s 30, but higher than last week’s 27. The index has lingered in the “Fear” zone for over a month, reflecting continued market risk aversion despite small rebounds.

Long-term supporters of cryptocurrencies, Standard Chartered Bank, have lowered their Bitcoin target price due to a sharp decline in corporate funding demand and stagnant ETF capital flows. The bank now expects Bitcoin to reach $150,000 by the end of 2026, down from the previous forecast of $300,000, and has pushed back its long-term target of $500,000 from 2028 to 2030.

Geoffrey Kendrick, Head of Global Digital Asset Research at Standard Chartered, said, “The companies that once drove Bitcoin demand, the so-called DATs, no longer have the valuation or motivation to continue buying Bitcoin.”

“We believe that the DATs’ demand for Bitcoin has ended, but we expect ETF capital inflows to periodically recover. We anticipate market consolidation rather than a complete sell-off.”

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